Discover the top five advantages of being an early adopter of payment technology and how it can benefit your business
Being an early adopter of payment technology can offer significant advantages in today’s fast-paced digital landscape. As businesses and consumers increasingly shift towards cashless transactions, those who embrace new payment solutions early on can position themselves for success. From improved efficiency and enhanced customer experiences to gaining a competitive edge, the benefits are compelling. In this discussion, we’ll explore the top five advantages that come with being at the forefront of payment technology adoption.
1. Competitive advantage
Early adoption of new technology is one of the strongest ways to differentiate yourself from competitors. At the very least, offering new and exciting features allows you to catch customer attention and initiate a conversation. At best, it enhances your market share, positioning you as an innovator compared to the alternatives available.
2. Access to enhanced efficiency
Emerging technologies often introduce tools and systems that streamline operations and enhance efficiency. Just think back to the survey respondents saying that open banking had enabled better visibility over their payments – this means greater knowledge of your cash flow, which in turn allows you to reinvest money where it’s needed most without putting yourself at risk of overspending.
Efficiency gains often translate to faster time-to-market, enhanced scalability and a better allocation of human and financial resources, which all stack up to create long-term benefits.
3. Market leadership and reputation
A myth that I want to debunk is that adopting new technology means you have to first remove or completely change your existing solutions or processes. You don’t have to ditch the old to embrace the new and move with the times – it should be viewed as enhancing what you offer. Businesses that embrace new technologies early are often perceived as thought leaders and pioneers in their industry, which can open up opportunities for new business deals, partner collaborations and greater recognition.
4. Customer acquisition and retention
Early adopters of new technology can attract customers eager to experience innovation first-hand. This strategy often captures a niche market segment that values cutting-edge solutions. Additionally, delivering superior experiences enabled by new technology fosters customer satisfaction and loyalty. Retaining these early users creates a solid base for growth as the technology becomes more widely adopted.
5. Learning curve advantage
Engaging with new technology early gives businesses a critical head start in understanding its nuances, applications and limitations. By the time the technology reaches mass adoption, these businesses are already proficient.
There’s also the rare benefit of early adopters being able to influence the direction that newer technology develops. An example of this is when GoCardless began building a new open banking-powered product to enable variable recurring payments (VRPs). There were some details we simply couldn’t know from internal testing alone, so real-world feedback from our customers was vital to us. It meant we could improve the product, making it more practical and efficient, and that the businesses providing the feedback gained the confidence that the product would meet their needs and match the checkout experience they were aiming to give their customers.
There’s never a “best time” to try new or unknown payment technology. But if there’s any part of your payment strategy that could be improved, any inefficiencies that you want to leave behind in 2024 or any part of your prospect base that you don’t know how to win over with your existing offering, then being an early adopter of open banking could be the opportunity you’re looking for.
